Sortino Ratio Calculator
Score a portfolio's return against downside risk only. The Sortino ratio is like the Sharpe ratio but ignores upside volatility β a fairer measure for volatile crypto strategies.
Result
Enter values to see the result.
How to use the Sortino Ratio Calculator
- 1Enter your Annual return (in %).
- 2Enter your Risk-free rate (in %).
- 3Enter your Downside deviation (in %) β Std dev of negative returns only.
- 4The result and full breakdown update instantly β no signup, no waiting, and your numbers never leave your browser.
About the Sortino Ratio Calculator
Score a portfolio's return against downside risk only. The Sortino ratio is like the Sharpe ratio but ignores upside volatility β a fairer measure for volatile crypto strategies. It's a free tool in our portfolio tools collection on TheCryptoTools, runs entirely in your browser, and works on mobile. If you found it useful, try Sharpe Ratio Calculator, Maximum Drawdown Calculator and Two-Asset Portfolio Volatility Calculator.
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Frequently asked questions
οΌWhat is the Sortino ratio?
It's (Return β Risk-free rate) divided by downside deviation. Unlike the Sharpe ratio, it only counts volatility from losing periods, so a strategy isn't punished for large gains.
οΌHow is it different from the Sharpe ratio?
Sharpe divides by total volatility (up and down); Sortino divides only by downside volatility. Sortino is usually higher and is considered fairer for asymmetric or high-upside strategies.
οΌWhat's a good Sortino ratio?
Roughly: below 1 is weak, above 1 is good, above 2 is very good and above 3 is excellent. Because it ignores upside noise, thresholds run a little higher than Sharpe in practice.
οΌWhere do I get downside deviation?
It's the standard deviation of only the negative (below-target) returns, annualized. Many portfolio trackers report it, or you can compute it from your return history.
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For educational purposes only. Sortino Ratio Calculator results are estimates, not financial advice.